Price on carbon key to Canada tackling global warming, say researchers

Look - we know. The cost of power does not reflect the true costs because the environmental effects are not taken into account. So lets get over the stigma and make a carbon price work. 

The team unanimously endorsed putting a price on carbon pollution as a key strategy. Without a carbon fee, the price of electricity on the market doesn’t reflect its true costs to society. This is a market failure that economists call an “externality,” where the costs associated with a product (in this case, damages incurred via climate change) aren’t captured in its market price. Instead they’re paid by taxpayers in what could be considered a massive subsidy to the fossil fuel industry.